Nitaqat cleanup: 2 million face ax

March 24, 2013

Nitaqat

Jeddah, Mar 24: At least 2 million expatriates may lose their jobs or leave the Kingdom shortly as about 250,000 small and medium enterprises will be listed in the Red category of the Labor Ministry’s Nitaqat system on Wednesday.

“About 250,000 trade, industrial and service firms have been given warning that their work permits would not be renewed because they have so far failed to employ at least one Saudi,” Al-Yaum reported yesterday quoting a high-level Labor Ministry source.

The deadline given to these SMEs to correct their situation ends Wednesday. The ministry had asked these firms to employ at least one Saudi to change their status and receive the ministry’s various services.

The source said the ministry would not renew work permits of employees in Red category firms and as a result their iqamas would not be renewed. According to a new law passed by the Cabinet, such iqama violators will be arrested and deported by the Interior Ministry.

The source said the ministry would provide regional governorates a list of SMEs that have so far failed to employ Saudis to take punitive action.

About a month ago, there were 340,000 firms without even a single Saudi working there. These firms have been given a deadline to correct their situation by March 27.

Saudi Arabia has deported more than 200,000 foreigners staying illegally in the country in four months, Passport Department officials said. The deportees included people who were smuggled into the country and expatriates who did not regularize their stay or were not allowed to renew their resident permits.

A majority of 250,000 firms in the Kingdom are involved in illegal cover-up businesses. The new law passed by the Cabinet targets such businesses and those involved in such activities would be punished.

“What is happening in Saudi Arabia now is a cleaning operation,” said Usman Irumpuzhi, an Indian journalist based in Jeddah. “This is a move against illegal workers and businesses, not against expatriates. The companies in the Premium and Green categories are still allowed to recruit foreign workers,” he told Arab News.

He said many Indians have already left the Kingdom on exit only visas because of the new regulations. “According to some sources, at least 100 Indians are leaving Jeddah every day on exit-only visas. This will definitely create a shortage in the number of workers and prices of goods and services will go up,” he added.

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News Network
April 12,2020

Apr 12: Parents in Abu Dhabi affected by the Covid-19 situation can seek help from the authorities in paying off their children's school fees, it was announced on Sunday.

The Abu Dhabi Media Office took to Twitter to announce the reprieve. The Authority for Social Contribution - Ma'an and Abu Dhabi Department of Education and Knowledge (Adek) "will support parents with children attending private schools in #AbuDhabi who are affected by the current economic challenges, by paying school fees or providing devices for distance learning".

The move is part of the 'Together We Are Good' programme which aims to support residents impacted by the Covid-19 coronavirus crisis in the country.

"Parents can call the toll-free helpline on 800-3088 or register their request at http://togetherwearegood.ae. The closing date for fee assistance applications is 23rd April 2020," the media office tweeted.

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News Network
May 20,2020

Cairo, May 20: A senior Kuwaiti lawmaker has called for imposing a tax on expatriates’ remittances to shore up the country’s finances.

MP Khalil Al Saleh, the head of the parliament’s Human Resources Committee, has presented a draft law on the proposed tax to the legislature.

“Imposing fees on expatriates’ transfers will have a role in improving the state's revenues and diversify sources of income,” he told Al Rai newspaper.

Migrant workers transfer about 4.2 billion dinars annually from Kuwait, he added, citing figures from Kuwait’s Central Bank.

“This system is in effect in most countries of the world and in more than one Gulf country. Expats there have not objected to it. Allowing this money to exit the country is very dangerous and has a direct effect on economy,” MP Al Saleh said.

“We do not target brotherly expats because imposing symbolic fees on financial transfers will not affect their money, but will have a positive effect on the state’s sources,” he said. “This has become a necessity after the money transferred outside Kuwait has reached 4.2 billion dinars annually without the state [Kuwait] making any benefit from this.”

Foreign workers make up 3.3 million of Kuwait’s 4.6 million population.

Several Kuwaiti public figures have recently pushed for redrawing the demographic imbalance in the country, accusing expatriates of straining health facilities and increasing the Covid-19 threat.

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News Network
March 18,2020

Dubai, Mar 18: Emirates, one of the world's biggest international airlines, has asked pilots to take unpaid leave to help it mitigate the impact of the coronavirus pandemic that has shattered demand for global travel.

"To this end you are strongly encouraged to make use of this opportunity to volunteer for additional paid and unpaid leave," the airline said in an internal email to pilots, seen by Reuters.

Emirates earlier this month asked some staff to take unpaid leave, although at that time it was not available to pilots.

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